Chapter 1

Front 1

What are the four factors of production?

Back 1

Labour, Capital, Land, Enterprise

Front 2

Name the sectors of industry.

Back 2

Primary, Secondary, Tertiary

Front 3

What are the sectors of economy?

Back 3

Private, Public, Third

Front 4

Who owns and runs a Private Limited Company?

Back 4

The shareholders own it, the board of directors run It

Front 5

What are social enterprises?

Back 5

An organisation that has one aim and gets no profit

Front 6

What are the three typical business objectives?

Back 6

Survival, Profit and Customer Satisfaction

Front 7

What is PESTEC?

Back 7

Political, Economic, Social, Technological,

Environmental, Competitive

Front 8

What are internal factors and external?

Back 8

Internal Factors are things that are inside the

business that influence how it operates, and

external are outside the business.

Front 9

Name some internal factors.

Back 9

Financial, Human Resources, Technology

Front 10

What are Stakeholders?

Back 10

` People who influence a business

Front 11

What is marketing?

Back 11

Marketing is trying to find out what the customer want's and needs.

Front 12

Give three reasons why Marketing is important?

Back 12

- Attracts new customers.

- It helps the business grow.

- It increases profits.

Front 13

What is the "Market Segment"

Back 13

This is when a business focuses the product they have made on a specific group of people.

Front 14

What is a market?

Back 14

A market offers a good or service to the customer.

Front 15

Name three places a market can be found.

Back 15

- On a website

- In a shop

- Over the telephone

Front 16

What is Market Growth?

Back 16

The increase on customers buying from the

business is called Market Growth,

Front 17

What is Market Share?

Back 17

The increase of the proportion of customers buying in that market?

Front 18

What is a Market Leader?

Back 18

A market leader is the most successful in that

sector.

Front 19

What are the four things in the marketing mix?

Back 19

Product, Price, Place, Promotion

Front 20

Name some activities that have to be done during Product development.

Back 20

- Market Research

- How they will promote the product.

- The place they will.

- The method of production has to be figured out.

Front 21

What should a business take into account when pricing a product?

Back 21

How much the competitor charges.

How much profit is wanted.

How much of the product can be supplied.

The life cycle of the product.

Front 22

Name the 5 pricing strategies.

Back 22

Low Price, High Price, Promotional Pricing, Cost-Plus pricing, Psychological Pricing

Front 23

What is cost-plus?

Back 23

It is how much the product costs + how much profit the business wants to make.

Front 24

What is Psychological Pricing?

Back 24

It makes the customer thing that they were getting a bargain. (so instead as £1.00 make it 99p)

Front 25

Name four distribution methods.

Back 25

Road, Train, Plane, Boat

Front 26

List two risks of developing a new product.

Back 26

-Customers might not want the product.

- The reputation of the business may be damaged if the product is faulty.

Front 27

Name the four stages of the product life cycle.

Back 27

Introduction, Growth, Maturity, Decline

Front 28

What is a brand?

Back 28

A brand is a logo, name or symbol that is given to a group or type of products.

Front 29

Give three reasons why businesses brand there products.

Back 29

To encourage customers to keep buying from the brand.

New products can be introduced easier.

The product will be more recognisable.

Front 30

Give two disadvantages of Branding.

Back 30

If one product is very low quality, then it may affect that brands whole product line.

Establishing a brand is very time consuming.

Front 31

What are the disadvantages of having too much stock?

Back 31

It costs more money to store more stock.

Larger stock has a risk of going out of date.

Front 32

What are the Method of Production?

Back 32

How a product is made, in lines of manufacturing.

Front 33

What is Job Production?

Back 33

Job Production is when a product is made by hand, one at a time.

Front 34

What is batch production?

Back 34

It is when the same product is created at the same time, in bulk, usually done by machine.

Front 35

What is flow production?

Back 35

It is when parts are added as it makes it's way along the product line.

Front 36

What are the perks of making a high quality product?

Back 36

- Customers will continue to buy that product.

- Profits and Sales are maximized.

Front 37

How do you ensure quality to a product?

Back 37

Use good raw materials

Use Quality Control

Make sure the right skills are used.

Front 38

How can a business be more environmental?

Back 38

- Minimize Wastage

- Recycle

- Use less packaging.

Front 39

What is the department of operations?

Back 39

The operations are responsible for

manufacturing the product.

Front 40

What are three factors operations use to make a product?

Back 40

Inputs > Process > Output

Front 41

What do the Department of Operations?

Back 41

- They make products

- They manage stock

- They ensure that raw materials are available

Front 42

What is a supplier?

Back 42

A supplier sells raw materials to a business so they can make a product.

Front 43

What are the disadvantages of having very little stock?

Back 43

- Unexpected orders cannot be met

- A customer might not receive the product in time

Front 44

What is advertising?

Back 44

Advertising makes customers aware that a

product exists.

Front 45

Name 8 ways of advertising?

Back 45

Internet, QR Code's, Apps, Email, TV adverts, Magazines, Billboards, Free Samples, Celebrity Endorsement

Front 46

What are the two types of market research?

Back 46

Field Research and Desk Research

Front 47

What is market research?

Back 47

It is when the business have to find out what the customers want, and what the competitor is doing.